Free Republic

(Reuters) - The euro zone debt crisis dragged the bloc into its second recession since 2009 in the third quarter despite modest growth in Germany and France, data showed on Thursday. The French and German economies both managed 0.2 percent growth in the July-to-September period but their resilience could not save the 17-nation bloc from contraction as the likes of The Netherlands, Spain, Italy and Austria shrank. Economic output in the euro zone fell 0.1 percent in the quarter, following a 0.2 percent drop in the second quarter. Those two quarters of contraction put the euro zone's 9.4 trillion euro...

French leaders have launched outspoken public attacks on Britain, calling for the UK to lose its AAA credit rating and comparing its economy with that of Greece. Christian Noyer, the governor of the Bank of France, said that Britain faced larger national debts, higher inflation and slower growth than France. François Baroin, the finance minister, said Britain was “marginalised” and faced “a very difficult economic situation” because of Coalition policies. The blunt remarks are the latest sign of Anglo-French tension following David Cameron’s refusal last week to back a new European treaty drawn up in response to the eurozone crisis....

Some of the world’s most powerful investment banks were downgraded by ratings agency Fitch as Germany’s cherished European fiscal compact appeared to be unravelling. [Snip] Credit ratings of the world’s biggest lenders have come under pressure as weak economic growth and concerns about whether European politicians have done enough to end the Eurozone debt crisis. [Snip] Meanwhile, Germany’s attempt to save the Eurozone was hanging in the balance as Hungary and the Czech Republic claimed it would be damaging and protesters in Warsaw demanded Poland stands firm against Angela Merkel. Amid fresh warnings that Europe is triggering a 1930s-style global...

David Cameron is at the centre of a furious row with Nicolas Sarkozy after Paris tried to isolate the prime minister at the EU summit by suggesting that Britain is seeking to exempt the City of London from all European regulations. In a move dismissed by officials in Brussels as an attempt to set Britain up as the fall guy, senior French figures said Cameron wanted an opt out from EU financial services regulation. The French were said to have found themselves isolated in their attempt to limit an agreement on tough fiscal rules for the single currency just to...

FRANKFURT, Germany - Ratings agency Standard & Poors says it's putting the European Union on review for a possible downgrade of its triple-A credit rating. The move Wednesday follows up on a similar action taken Dec. 5 in regard to 15 of the 17 members of the euro because of the eurozone's debt crisis.

AFP - British Prime Minister David Cameron threatened to block a new European Union treaty designed to save the euro from the debt crisis if London's demands are not met. Cameron said Britain's huge financial sector and the single market would have to be protected if he were to sign up to a new EU-wide treaty aimed at resolving the crisis in the euro, which Britain does not use. His threat increases the likelihood that France and Germany, who proposed rewriting the treaty Monday, will end up pushing for an agreement between just the 17 nations who use the euro...